Why aren't there more lawyers on boards?

The UK should follow the US's example.

A report studying the rise of so-called "lawyer directors" in the USA Today came to my attention recently. The academic study found that lawyers have become increasingly prevalent on corporate boards; as of 2009, 43 per cent of US companies had lawyer directors on their boards; rising from 24 per cent back in 2000. Indeed the authors of the paper opine that a company with a lawyer on its board has a corporate value typically 9.5 per cent higher than a company without and empirically performs better.

Appointing lawyers onto boards helps to reduce external legal risks whilst also improving internal corporate governance. In the USA there is a dawning realisation that lawyers make valuable board-level directors, as the statistics attest, and a cultural shift is well and truly underway.

In the UK however the boardroom narrative is markedly different. There are only 14 lawyers acting in any capacity on the boards of the FTSE 100 and only 20 qualified lawyers currently on boards of the FTSE 250. Very few general counsels or partners of law firms are making the step up to boardroom level and it begs the question, why this disparity between the US and UK? It is clear that there is a negative mindset amongst CEOs and chairmen of public companies in the UK concerning lawyers serving as executive or non-executive directors on boards. Part of this apprehension stems from the notion that lawyers are skilled craftsmen but not capable of managing businesses nor bringing anything other than endless polemic to boardroom discussions. There also exists a misconception that Limited Liability Partnerships (LLPs) are run as siloed businesses, but in today’s globalised business world large law firms are increasingly run in a form very similar to those of public companies, therefore partners are increasingly required to possess managerial skills to run an LLP successfully. Take my own career as a prime example; as Co-Chief Executive of DLA Piper I have not practiced law for years – my role is strategic and managerial, focussed on the day to day business of developing a global law firm.

The notion that lawyers do not possess the requisite skill set to sit on boards is a patent farce.  I would argue that lawyers have a lot to offer beyond their self-evident legal expertise (whilst not denigrating this offering). Most lawyers generally have the vitally important ability to absorb vast reams of complicated and granular information. Not only does this enable he or she to then précis this information into a clear 'big' picture, it is an essential skill for any board level non-executive (or executive) if he or she is to offer any value-enhancing interpretation of the business.

However at present, deconstructive analysis and corporate governance scrutiny is not always what a UK CEO looks for when considering the makeup of his or her board. Perhaps it is time that public companies started to consider more carefully the benefits of appointing analytical thinkers with a risk-averse and best practice approach to corporate governance. A lot of companies could do with a little more probity of that ilk. Lawyers seeking board level appointments must for their part look to expand their exposure to boards of all kinds, be they businesses, schools, local councils or charities, in order to gain more people management experience and learn to think less like a lawyer and more like a business person. Perhaps then we shall see more lawyers on boards and a cultural shift akin to the US will manifest itself here in the UK.

Photograph: Getty Images

Co-CEO of DLA Piper

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Rarely has it mattered so little if Manchester United won; rarely has it been so special they did

Team's Europa League victory offers chance for sorely needed celebration of a city's spirit.

Carlo Ancelotti, the Bayern Munich manager, memorably once said that football is “the most important of the least important things”, but he was only partly right. While it is absolutely the case that a bunch of people chasing around a field is insignificant, a bunch of people chasing around a field is not really what football is about.

At a football match can you set aside the strictures that govern real life and freely scream, shout and cuddle strangers. Football tracks life with such unfailing omnipresence, garnishing the mundane with regular doses of drama and suspense; football is amazing, and even when it isn’t there’s always the possibility that it’s about to be.

Football bestows primal paroxysms of intense, transcendent ecstasy, shared both with people who mean everything and people who mean nothing. Football carves out time for people it's important to see and delivers people it becomes important to see. Football is a structure with folklore, mythology, language and symbols; being part of football is being part of something big, special, and eternal. Football is the best thing in the world when things go well, and still the best thing in the world when they don’t. There is nothing remotely like it. Nothing.

Football is about community and identity, friends and family; football is about expression and abandon, laughter and song; football is about love and pride. Football is about all the beauty in the world.

And the world is a beautiful place, even though it doesn’t always seem that way – now especially. But in the horror of terror we’ve seen amazing kindness, uplifting unity and awesome dignity which is the absolute point of everything.

In Stockholm last night, 50,000 or so people gathered for a football match, trying to find a way of celebrating all of these things. Around town before the game the atmosphere was not as boisterous as usual, but in the ground the old conviction gradually returned. The PA played Bob Marley’s Three Little Birds, an Ajax staple with lyrics not entirely appropriate: there is plenty about which to worry, and for some every little thing is never going to be alright.

But somehow the sentiment felt right and the Mancunian contingent joined in with gusto, following it up with “We’ll never die,” – a song of defiance born from the ashes of the Munich air disaster and generally aired at the end of games, often when defeat is imminent. Last night it was needed from the outset, though this time its final line – “we’ll keep the red flag flying high, coz Man United will never die" – was not about a football team but a city, a spirit, and a way of life. 

Over the course of the night, every burst of song and even the minute's silence chorused with that theme: “Manchester, Manchester, Manchester”; “Manchester la la la”; “Oh Manchester is wonderful”. Sparse and simple words, layered and complex meanings.

The match itself was a curious affair. Rarely has it mattered so little whether or not United won; rarely has it been so special that they did. Manchester United do not represent or appeal to everyone in Manchester but they epitomise a similar brilliance to Manchester, brilliance which they take to the world. Brilliance like youthfulness, toughness, swagger and zest; brilliance which has been to the fore these last three days, despite it all.

Last night they drew upon their most prosaic aspects, outfighting and outrunning a willing but callow opponent to win the only trophy to have eluded them. They did not make things better, but they did bring happiness and positivity at a time when happiness and positivity needed to be brought; football is not “the most important of the least important things,” it is the least important of the most important things.

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